MIRA INFORM REPORT

 

 

Report Date :

25.06.2007

 

IDENTIFICATION DETAILS

 

Name :

ONLY CORPORATION

 

 

Registered Office :

Karasuma Bldg, 85-1 Mikuracho Karasumanishi-iru Sanjo-Dori Nakagyoku Kyoto 604-8166

 

 

Country :

Japan

 

 

Financials (as on) :

31.08.2006

 

 

Date of Incorporation :

Jun 1976

 

 

Legal Form :

Limited Company (Kabushiki Kaisha)

 

 

Line of Business :

Retail shop operator of men’s suits

 

 

RATING & COMMENTS

 

MIRA’s Rating :

Ba

 

RATING

STATUS

PROPOSED CREDIT LINE

41-55

Ba

Overall operation is considered normal. Capable to meet normal commitments.

Satisfactory

 

Maximum Credit Limit :

Yen 125.3 millions

 

 

Status :

Satisfactory

 

 

Payment Behaviour :

Regular

 

 

Litigation :

--

 

 

name

 

ONLY CORPORATION

 

 

REGD NAME

 

KK Only

 

 

MAIN OFFICE

 

Karasuma Bldg, 85-1 Mikuracho Karasumanishi-iru Sanjo-Dori Nakagyoku Kyoto 604-8166 JAPAN

Tel        : 075-257-7801

Fax       : 075-257-7802

URL      : http://www.only.co.jp/

E-Mail address: inhale@only.co.jp

 

 

ACTIVITIES

 

Retail shop operator of men’s suits

 

 

STORES

 

Hokkaido/Kanto (56), Chubu (5), Kinki (24), Chugoku (3), Kyushu (4) (Tot 56)

 

 

FACTORY(IES)

 

Saga (KK Only Factory) (wholly owned subsidiary)

 

 

OVERSEAS

 

China (subcontracted)

 

 

CHIEF EXEC

 

KOICHI NAKANISHI, PRES

 

Yen Amount:     In million Yen, unless otherwise stated

 

 

SUMMARY

 

FINANCES        FAIR                             A/SALES          Yen 6,606 M

PAYMENTS      REGULAR                     CAPITAL           Yen 693 M

TREND             STEADY                       WORTH            Yen 2,095 M

STARTED         1976                             EMPLOYES      233

 

 

COMMENT

 

RETAIL STORE OPERATOR OF MEN’S SUITS.  FINANCIAL SITUATION COSIDERED FAIR AND GOOD FOR ORDINARY BUSINESS ENGAGEMENTS.

                       

MAX CREDIT LIMIT: YEN 125.3 MILLION, 30 DAYS NORMAL TERMS.

 

 

Note:  Financials up to the 31/08/2004 fiscal term are of the individual (non-consolidated) figures.

 

Forecast (or estimated) figures for 31/08/2007 fiscal term

 

 

HIGHLIGHTS

 

The subject company was established by Koichi Nakanishi in order to retail men’s suits.  Operates a total 56 stores nationwide, selling men’s suits.  Shops are: IINHALE+EXHALE; Super Suits Store; Suits & Suits (this store is operated by a subsidiary).  Accepts orders for tailor-made suits, too.  Suits are subcontracted mfg to a subsidiary and in China.  In Apr 2005, started tailor-made orders for women, followed by ready-made suits for women in Sept 2006.

           

 

FINANCIAL INFORMATION

 

The sales volume for Aug/2006 fiscal term amounted to Yen 6,606 million, an 8.7% up from Yen 6,079 million in the previous term.  New store opening contributed.  The recurring profit was posted at Yen 636 million and the net profit at Yen 443 million, respectively, compared with Yen 443 million recurring profit and Yen 245 million net profit, respectively, a year ago.

           

For the current term ending Aug 2007 the recurring profit is projected at Yen 800 million and the net profit at Yen 420 million, on a 13.5% rise in turnover, to Yen 7,500 million.  Sales at existing store will continue favorable, with 5 new stores expected open.

 

The financial situation is considered maintained FAIR and good for ORDINARY business     engagements. Max credit limit is estimated at Yen 125.3 million, on 30 days normal terms.

 

 

 

 

REGISTRATION

 

Date Registered:            Jun 1976

Legal Status:                 Limited Company (Kabushiki Kaisha)

Authorized:                    30,000 shares

Issued:                          11,680 shares

Sum:                            Yen 693 million

Major shareholders (%): Koichi Nakanishi (36.3), Morgan Stanley Int’l (8.6), Credit Switz (5.3), Trustee Bank of

Japan T (4.6), HSBC Bank Account Atlantis GF (4.3), Daishokin Business (3.8), Bank of

NY GCM Client EISG (2.8), Mitsui & Co (2.5), Motomi Nakanishi (2.2), Tetsuya Hishida

(2.2)

No. of shareholders:       1,078

Listed on the S/Exchange (s) of: HC (listed Jul/2005)

Managements: Koichi Nakanishi, ch & pres; Noboru Kawamura, mgn dir; Tetsuya Hishida, dir; Hisashi Shiranami, dir; Taro Okazaki, dir

           

Nothing detrimental is known as to the commercial morality of executives.

 

 

Related companies

 

KK Only Factory

 

           

OPERATION

           

Activities: Operates 56 stores of men’s & women’s suits (64%), shirts, neckties, belts, other clothing accessories (--23%), tailor-made suits, others (13%).

 

Clients: Consumers

 

No. of accounts: Unavailable

 

Domestic areas of activities: Nationwide

 

Suppliers: [Mfrs, wholesalers] Mitsui & Co, Takisada Nagoya, Ron Chester, Fasic Co, Flex Co, Only Factory (subsidiary), other.  Imports from China.

 

Payment record: Regular

 

Location: Business area in Kyoto.  Office premises at the caption address are leased and maintained satisfactorily.

 

 

Bank References

 

SMBC (Kyoto)

MUFG (Kyoto)

 

Relations: Satisfactory

 

 

FINANCES

 

(In Million Yen)

FINANCES: (Consolidated in million yen)

 

　

　

Terms Ending:

31/08/2006

31/08/2005

INCOME STATEMENT

 

 

 

  Annual Sales

　

6,606

6,079

 

  Cost of Sales

2,632

2,545

 

      GROSS PROFIT

3,973

3,533

 

  Selling & Adm Costs

3,324

3,051

 

      OPERATING PROFIT

649

482

 

  Non-Operating P/L

-13

-39

 

      RECURRING PROFIT

636

443

　

      NET PROFIT

320

245

BALANCE SHEET

 

 

 

 

  Cash

　

642

1,001

 

  Receivables

 

218

197

 

  Inventory

 

1,447

1,017

 

  Securities, Marketable

　

　

 

  Other Current Assets

88

110

 

      TOTAL CURRENT ASSETS

2,395

2,325

 

  Property & Equipment

403

265

 

  Intangibles

 

5

5

 

  Investments, Other Fixed Assets

865

716

 

      TOTAL ASSETS

3,668

3,311

 

  Payables

 

146

239

 

  Short-Term Bank Loans

300

　

 

　

 

　

　

 

  Other Current Liabs

650

840

 

      TOTAL CURRENT LIABS

1,096

1,079

 

  Debentures

 

150

175

 

  Long-Term Bank Loans

164

78

 

  Reserve for Retirement Allw

161

150

 

  Other Debts

　

　

　

 

      TOTAL LIABILITIES

1,572

1,483

 

      MINORITY INTERESTS

 

 

 

Common stock

693

693

 

Additional paid-in capital

800

800

 

Retained earnings

601

333

 

Evaluation p/l on investments/securities

　

　

 

Others

 

1

1

 

Treasury stock, at cost

　

　

 

      TOTAL S/HOLDERS` EQUITY

2,095

1,827

　

      TOTAL EQUITIES

3,668

3,311

CONSOLIDATED CASH FLOWS

 

 

 

 

Terms ending:

31/08/2006

31/08/2005

 

Cash Flows from Operating Activities

　

-171

698

 

Cash Flows from Investment Activities

-276

-369

 

Cash Flows from Financing Activities

163

-134

　

Cash, Bank Deposits at the Term End

　

642

926

ANALYTICAL RATIOS            Terms ending:

31/08/2006

31/08/2005

 

 

Net Worth (S/Holders' Equity)

2,095

1,827

 

 

Current Ratio (%)

218.52

215.48

 

 

Net Worth Ratio (%)

57.12

55.18

 

 

Recurring Profit Ratio (%)

9.63

7.29

 

 

Net Profit Ratio (%)

4.84

4.03

 

 

Return On Equity (%)

15.27

13.41

 

 

RATING EXPLANATIONS

 

RATING

STATUS

 

 

PROPOSED CREDIT LINE

>86

Aaa

Possesses an extremely sound financial base with the strongest capability for timely payment of interest and principal sums

 

Unlimited

71-85

Aa

Possesses adequate working capital. No caution needed for credit transaction. It has above average (strong) capability for payment of interest and principal sums

 

Large

56-70

A

Financial & operational base are regarded healthy. General unfavourable factors will not cause fatal effect. Satisfactory capability for payment of interest and principal sums

 

Fairly Large

41-55

Ba

Overall operation is considered normal. Capable to meet normal commitments.

 

Satisfactory

26-40

B

Unfavourable & favourable factors carry similar weight in credit consideration. Capability to overcome financial difficulties seems comparatively below average/normal.

 

Small

11-25

Ca

Adverse factors are apparent. Repayment of interest and principal sums in default or expected to be in default upon maturity

 

Limited with full security

<10

C

Absolute credit risk exists. Caution needed to be exercised

 

 

Credit not recommended

NR

In view of the lack of information, we have no basis upon which to recommend credit dealings

No Rating

 

 

This score serves as a reference to assess SC’s credit risk and to set the amount of credit to be extended. It is calculated from a composite of weighted scores obtained from each of the major sections of this report. The assessed factors and their relative weights (as indicated through %) are as follows:

 

Financial condition (40%)            Ownership background (20%)                 Payment record (10%)

Credit history (10%)                    Market trend (10%)                                Operational size (10%)

 

 

 

 

PRIVATE & CONFIDENTIAL : This information is provided to you at your request, you having employed MIPL for such purpose. You will use the information as aid only in determining the propriety of giving credit and generally as an aid to your business and for no other purpose. You will hold the information in strict confidence, and shall not reveal it or make it known to the subject persons, firms or corporations or to any other. MIPL does not warrant the correctness of the information as you hold it free of any liability whatsoever. You will be liable to and indemnify MIPL for any loss, damage or expense, occasioned by your breach or non observance of any one, or more of these conditions